Renting A Better Investment Than Buying, New Report Advises Denverites

David Zalubowski/AP
A sign stands outside a home for sale in south Denver.

Is it better to rent or buy? Well, Denver happens to be one of three cities "clearly in rent territory" because of skyrocketing home prices, says a report from Florida Atlantic University and Florida International University.

Researchers there created an index to advise what's going to earn you more money in the long term--owning a home or renting and investing your money elsewhere.

Since 2000, Denver has mostly been in the "rent" category. Chart: Rent vs. buy in Denver

But that's no picnic either. The average rental rate for three-bedroom, single family homes was $1,679 in the first quarter of 2015. That's a rise of 12 percent, the Denver Business Journal reports.